The price of bitcoin was rising leading up to the Bitcoin Law entering into force. However, it dipped around 11:00 a.m. EST on Sept. 7, falling from above $51K to below $43K.
Bitcoin is now legal tender in El Salvador, and the country’s bitcoin stash has grown to 550 coins. The Salvadoran government started buying the cryptocurrency Monday ahead of the Bitcoin Law taking effect. On Tuesday, President Nayib Bukele said El Salvador bought the dip.– Bitcoin.news
Leading into the Launch on Tuesday, El Salvador had purchased 200 Bitcoins. Another 200 were purchased on “D-Day”, with an extra 150 bought through the Dip…
The International Monetary Fund (IMF) has spoken against countries adopting bitcoin as legal tender on several occasions. In late August, IMF’s legal counsels said that cryptocurrencies, like bitcoin, came with “substantial risks” and are inadvisable as legal tender.
The Salvadoran president sent a tweet, during the Dip, directly aimed at the IMF:
“It appears the discount is ending. Thanks for the dip @IMFNews. We saved a million in printed paper,”
Many eyes, territories and regulators will be watching this “economic experiment” over the next few weeks and months, as we see a small country decouple itself from the DEBT of a teetering financial system.
Not all smooth sailing for El Salvador
Sept. 7 got off to a bumpy start for El Salvador when users complained that the government’s bitcoin wallet app, Chivo, was unavailable on various platforms, including Apple and Huawei. When the app became available on Huawei, it was unable to cope with user registration, Bukele explained, adding that the government decided to unplug it in order to connect to more servers and increase capacity. The issue appeared to have been resolved at the time of writing.
The Future Looks Bright…
Following El Salvador’s historic adoption of Bitcoin (BTC) as legal tender on Tuesday, Cardano founder Charles Hoskinson predicted that a lot more countries will eventually follow in the Latin American nation’s footsteps.
El Salvador’s Bitcoin acceptance further legitimizes the belief that people should be in control of their money, Hoskinson said in his “Congratulations Bitcoin” YouTube video on Tuesday.
The Cardano founder expressed confidence that cryptocurrencies like Bitcoin are the future of money as the younger generation will inevitably trigger mass adoption of crypto. “The majority of people under the age of 25 have a positive view on cryptocurrencies, and a lot of them own them. That’s the future. Their children will grow up with those values and those beliefs about the nature of money,” he said.
The question that is being asked, who is next, to officially accept Bitcoin, or competing cryptocurrencies as legal tender? Time will tell.
SOURCE: Bitcoin.news: Kevin Helms …CoinTelegraph: Helen Partz